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ARIZONA STATE SENATE

Fifty-Fourth Legislature, Second Regular Session

 

FACT SHEET FOR S.B. 1461

 

legislators; opt out; per diem

Purpose

            Replaces the current daily subsistence payment rates for legislators with a rate that is a set percentage of the annual average federal per-diem rate for Maricopa County as determined by the U.S. General Services Administration (annual average federal per-diem rate).

Background

            In addition to an annual salary, each member of the Legislature receives $35 each day for subsistence during a regular or special session or for each day when a member acts on a legislative matter outside of session, on the prior approval of the presiding officer of the respective chamber. Each member whose permanent address is outside of Maricopa County receives an additional $25 each day for subsistence. After the first 120 days of a regular session, the daily subsistence payment is reduced to $10 per day for each legislator whose permanent residence is within Maricopa County and $20 per day for each legislator whose permanent residence is outside of Maricopa County. To receive payment for travel expenses or subsistence, legislators must submit a claim countersigned by the presiding officer of the respective chamber (A.R.S. § 41-1104).

            Under the Code of Federal Regulations, per diem allowance is a daily payment instead of reimbursement for actual expenses for lodging, meals and related incidental expenses (41 CFR § 300-3.1). The average U.S. General Services Administration lodging rate for Maricopa County from October 2019 to September 2020 is $133.50 per day and the current meals and incidentals rate for Maricopa County is $56 per day (U.S. GSA).

            There is no anticipated fiscal impact to the state General Fund associated with this legislation; however, there will be an impact to the Arizona State Senate and House of Representatives as a result of the increase in the daily subsistence payment rates to legislators.

Provisions

1.      Replaces the current daily subsistence payment rates of $35 and $60 for legislators during a regular or special session and each day when a legislator acts on a legislative manner with an amount annually determined by the Director of the Arizona Department of Administration (ADOA) as follows:

a)      for legislators whose permanent residence is within Maricopa County, 30 percent of the annual average federal per-diem rate; and

b)      for legislators whose permanent residence is outside of Maricopa County, 100 percent of the annual average federal per-diem rate.

2.      Repeals the requirement that legislators receive a reduced daily subsistence payment of $10 and $20 after the first 120 days of a regular session.

3.      Allows legislators to opt out of receiving daily subsistence payments.

4.      Specifies that the maximum long-term subsistence allowance set by the Director of ADOA for state employees does not apply to legislators.

5.      Makes technical and conforming changes.

6.      Becomes effective on January 11, 2021.

Prepared by Senate Research

February 6, 2020

MH/kja